Current Gold Price

[peterr54]

Lord Beria you are obviously a Gold Bug still speculating to hit the sweet spot of some phantasmagorical gold seam. US$ 50,000 an oz you say?

When the imploding dollar based fractional reserve fiat money system does occur (you note i do not say IF but WHEN), then the panic stricken flight to PM's will of course inflate the gold price to unimaginable heights.

But once the gold bugs start doing what their predecessor banking friends did, that is high volume contract trading of commodities to capture profit windfalls from buying at the troughs and selling at the peaks, then it will be just a short matter of time when everybody realizes they are no better off than before. History has a tendency to repeat itself and greed is its timekeeper.

Subsequently the gold price will plummet to a more practical coinage value.......as it is impractical to carry a gold ingot or even a bar around as tender. The Golden Eagle will again be US$ 50 or thereabouts, not the US$ 1700 it is currently trading at as a collectible.

[jeremylee]

Thought LB3 might like this




http://www.dailymail.co.uk/news/article ... ondon.html

Really want to rob these.

[biffvernon]

Yes, Jeremylee, there is clearly a large stockpile of unused gold. No need to mine any more.

[Lord Beria3]

Lord Beria you are obviously a Gold Bug still speculating to hit the sweet spot of some phantasmagorical gold seam. US$ 50,000 an oz you say?

When the imploding dollar based fractional reserve fiat money system does occur (you note i do not say IF but WHEN), then the panic stricken flight to PM's will of course inflate the gold price to unimaginable heights.

But once the gold bugs start doing what their predecessor banking friends did, that is high volume contract trading of commodities to capture profit windfalls from buying at the troughs and selling at the peaks, then it will be just a short matter of time when everybody realizes they are no better off than before. History has a tendency to repeat itself and greed is its timekeeper.

Subsequently the gold price will plummet to a more practical coinage value.......as it is impractical to carry a gold ingot or even a bar around as tender. The Golden Eagle will again be US$ 50 or thereabouts, not the US$ 1700 it is currently trading at as a collectible.

Yup, you may be right, indeed you are right that gold will go into a massive bubble - by that time I will selling most of mine and buying up farmland.

If the bubble collapsed and gold really did collapse in price, I would be way out of it then with my empire of land secure.

[JavaScriptDonkey]

Yup, you may be right, indeed you are right that gold will go into a massive bubble - by that time I will selling most of mine and buying up farmland.

If the bubble collapsed and gold really did collapse in price, I would be way out of it then with my empire of land secure.

You seriously think that after the collapse of the global reserve currencies anybody will sell farmland for shiny metal?

Madness.

[Snail]

Yup, you may be right, indeed you are right that gold will go into a massive bubble - by that time I will selling most of mine and buying up farmland.

If the bubble collapsed and gold really did collapse in price, I would be way out of it then with my empire of land secure.

You seriously think that after the collapse of the global reserve currencies anybody will sell farmland for shiny metal?

Madness.

Then, he'll either wait until he sells. Or sell it for as much as he can after collapse and buy something else. Either way, since he can't afford farmland now, he won't be significantly worse off than he would've been if he put that money in a bank.

[Snail]

Gold, Fiat Currency, and Socialism

Been reading about Chartalism/MMT for a while now. In my mind, MMT is the best representation of how our modern economic system works.

MMT basically is: Government creates money by spending via the central bank. And destroys it by taxation which reduces the money supply. Monopoly of taxation ensures the currency's demand. Therefore, not like how I was taught in school that Government's only spend what they get in tax unless they borrow. MMT also alters the traditional view of the relationship between public and private sectors. Wikipedia can describe it better.

In MMT, Guaranteed employment is good and beneficial. Saving and imports are bad because they represent leakages. MMT is about establishing the optimal allocation of resources.

This is where China is moving. A managed Macro-Economic approach. And could/should be what Western countries move to also.

A heavily subsidised health/pension/school etc. to minimise the need for wasteful saving. Full employment which is central to MMT could be replaced with the Citizen's Income. Like China is doing, saving should be encouraged by buying gold. Gold as a wealth-store is not debt-based as in conventional savings.

A completely fiat-based money system used for spending. And gold used for storing (which will also reduce inflationary pressures).

Posted this as Chartalism/MMT IMO not only demonstrates why the Government is lying when it links reducing the public sector with decreasing the deficit. And why the euro-zone is in such a mess (countries effectively holding foreign debt). It explains what is going on at the minute.

If unemployment is rising, then that is what Government currently wants.

But also how monetary-policy could be used to transition to a better and fairer society. And how gold could be used in this way rather then the traditional view of a commodity-backed currency.

And also because I find economics and even accounting extremely interesting if a little hard to understand/relating to completely. And writing this down helps me think things through.

[Lord Beria3]

Yup, you may be right, indeed you are right that gold will go into a massive bubble - by that time I will selling most of mine and buying up farmland.

If the bubble collapsed and gold really did collapse in price, I would be way out of it then with my empire of land secure.

You seriously think that after the collapse of the global reserve currencies anybody will sell farmland for shiny metal?

Madness.

Surely if there is a bubble in gold (e.g. everybody wants to buy it), then if I SELL in the bubble stage, I will find at least some people prepared to sell their farmland.

After all, everybody has their price eh.

[vtsnowedin]

[You seriously think that after the collapse of the global reserve currencies anybody will sell farmland for shiny metal?

Madness.

Surely if there is a bubble in gold (e.g. everybody wants to buy it), then if I SELL in the bubble stage, I will find at least some people prepared to sell their farmland.

After all, everybody has their price eh.

Why yes even I might be willing to sell some land for what it is worth as the rest of the economy comes apart around us. Lets see now : a good bit of land can provide food, water, fiber ,fuel and a place to build shelter and defensible positions, ??......?...**^*%$#.&&..?? v,,.)***(@**%)=(###@*) Sorry LB you ain't got enough shinny indigestible metal to get more then a wheel barrow full.

[Lord Beria3]

[You seriously think that after the collapse of the global reserve currencies anybody will sell farmland for shiny metal?

Madness.

Surely if there is a bubble in gold (e.g. everybody wants to buy it), then if I SELL in the bubble stage, I will find at least some people prepared to sell their farmland.

After all, everybody has their price eh.

Why yes even I might be willing to sell some land for what it is worth as the rest of the economy comes apart around us. Lets see now : a good bit of land can provide food, water, fiber ,fuel and a place to build shelter and defensible positions, ??......?...**^*%$#.&&..?? v,,.)***(@**%)=(###@*) Sorry LB you ain't got enough shinny indigestible metal to get more then a wheel barrow full.

There will be many people who will have no choice but to sell their farmland, if that is their only asset left. This is something that you do not factor into your equations.

And not everybody thinks as highly of farmland as you do.

[JavaScriptDonkey]

There will be many people who will have no choice but to sell their farmland, if that is their only asset left. This is something that you do not factor into your equations.

And not everybody thinks as highly of farmland as you do.

Ahhh, so your plan for long term security relies on taking advantage of some one who has a desperate need to sell farmland for cash at a time of collapsing civilisation.

Glad we got that cleared up.

Have you ever worked on a farm?

[Lord Beria3]

There will be many people who will have no choice but to sell their farmland, if that is their only asset left. This is something that you do not factor into your equations.

And not everybody thinks as highly of farmland as you do.

Ahhh, so your plan for long term security relies on taking advantage of some one who has a desperate need to sell farmland for cash at a time of collapsing civilisation.

Glad we got that cleared up.

Have you ever worked on a farm?

Not necessarily.

It might be that a farmer has died (indeed, very likely as the average farmer in the UK is in his 60's) and his remaining family don't want to own a farm.

Anyway, people sell for many reasons, thats not my problem.

No, I haven't worked on a farm. And I would rent the land out to a farmer after I had brought, so the question is pointless.

And yes, I would grow my own food, but in my own back garden.

[clv101]

And yes, I would grow my own food, but in my own back garden.

Don't you already?

[Lord Beria3]

And yes, I would grow my own food, but in my own back garden.

Don't you already?

Currently live with my parents, saving for a deposit to get a flat.

Help my parents out with their back garden plot though.

[vtsnowedin]

[After all, everybody has their price eh.

And not everybody thinks as highly of farmland as you do.[/quote]
I think very highly of food on the table.
You are right that there will be sellers of land but the price they will ask and get for productive farmland will soar at least as fast as the price of gold once oil and fertilizer supplies start to decline.